- accelerated method
- A cost allocation method that provides for larger amounts in earlier time periods. The rationale for using an accelerated method is that the economic activity of the underlying assets or circumstances occurs most intensively in the earliest time periods. For example, under accelerated *amortization the cost of a *long-term asset is expensed more heavily in the early years of its *useful economic life, on the grounds that the asset is characterized by rapidly diminishing efficiency, or is subject to a high risk of early *obsolescence. Where amortization costs are deductible for tax purposes, accelerated methods of depreciation offer accelerated tax benefits.
Auditor's dictionary. 2014.
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